CenterBook Partners LP Purchases New Position in Cadence Design Systems, Inc. $CDNS

CenterBook Partners LP purchased a new position in Cadence Design Systems, Inc. (NASDAQ:CDNS) in the third quarter, Holdings Channel reports. The fund purchased 2,541 shares of the software maker’s stock, valued at approximately $893,000.

A number of other hedge funds also recently bought and sold shares of CDNS. Norges Bank purchased a new stake in shares of Cadence Design Systems in the second quarter valued at approximately $1,190,618,000. Massachusetts Financial Services Co. MA grew its stake in Cadence Design Systems by 16.0% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 5,314,407 shares of the software maker’s stock valued at $1,866,739,000 after acquiring an additional 731,788 shares during the period. Voya Investment Management LLC increased its holdings in Cadence Design Systems by 914.2% in the 3rd quarter. Voya Investment Management LLC now owns 691,071 shares of the software maker’s stock worth $242,746,000 after acquiring an additional 622,934 shares in the last quarter. Scge Management L.P. purchased a new stake in Cadence Design Systems in the 2nd quarter worth $187,663,000. Finally, Bain Capital Public Equity Management II LLC acquired a new position in Cadence Design Systems during the second quarter worth $130,534,000. Hedge funds and other institutional investors own 84.85% of the company’s stock.

Cadence Design Systems Trading Down 0.1%

Shares of CDNS stock opened at $296.28 on Friday. The company has a current ratio of 2.86, a quick ratio of 2.84 and a debt-to-equity ratio of 0.45. Cadence Design Systems, Inc. has a twelve month low of $221.56 and a twelve month high of $376.45. The company’s 50-day moving average price is $307.90 and its 200-day moving average price is $328.02. The stock has a market cap of $80.65 billion, a price-to-earnings ratio of 72.98, a PEG ratio of 3.37 and a beta of 1.01.

Cadence Design Systems (NASDAQ:CDNS) last posted its earnings results on Tuesday, February 17th. The software maker reported $1.99 earnings per share for the quarter, beating the consensus estimate of $1.91 by $0.08. Cadence Design Systems had a net margin of 20.93% and a return on equity of 29.34%. The company had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.42 billion. During the same period in the previous year, the business posted $1.88 EPS. Cadence Design Systems’s revenue was up 6.2% on a year-over-year basis. Cadence Design Systems has set its Q1 2026 guidance at 1.890-1.950 EPS and its FY 2026 guidance at 8.050-8.150 EPS. As a group, equities analysts predict that Cadence Design Systems, Inc. will post 5.41 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on CDNS. Wolfe Research reissued an “outperform” rating and set a $385.00 target price on shares of Cadence Design Systems in a research note on Tuesday, October 28th. KeyCorp reiterated an “overweight” rating and set a $405.00 price objective on shares of Cadence Design Systems in a research note on Tuesday, October 28th. Citigroup started coverage on Cadence Design Systems in a report on Monday, November 24th. They set a “buy” rating and a $385.00 target price for the company. Piper Sandler lowered their price target on Cadence Design Systems from $355.00 to $319.00 and set a “neutral” rating on the stock in a research note on Wednesday. Finally, JPMorgan Chase & Co. boosted their price target on Cadence Design Systems from $390.00 to $405.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 28th. Fifteen equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Cadence Design Systems currently has a consensus rating of “Moderate Buy” and a consensus target price of $376.50.

Key Headlines Impacting Cadence Design Systems

Here are the key news stories impacting Cadence Design Systems this week:

• Positive Sentiment: Q4 beats, strong guidance and record backlog — Cadence topped Q4 revenue and EPS estimates, reported a record $7.8B backlog and gave upbeat 2026 guidance tied to AI-driven chip-design demand, supporting the post‑earnings rally. Cadence Tops Q4 Earnings on Upbeat AI Trends, Posts Solid Backlog
• Positive Sentiment: Market commentary highlights AI products (ChipStack, Cerebrus) that management says can materially boost chip-design productivity — a structural tailwind that investors are rewarding after the print.
• Positive Sentiment: Brokerage support — Bank of America reaffirmed a Buy with a $400 target (bullish price objective) and Rosenblatt/Needham issued Buy ratings, providing institutional endorsement of the AI story. Bank of America Securities Remains Bullish on Cadence Design Systems Rosenblatt Raised to Buy Needham Buy Rating
• Neutral Sentiment: ChipStack AI launch draws attention but raises valuation/implementation watchpoints — product launch is positive for long‑term thesis, though some coverage flags valuation risk. Cadence ChipStack AI Super Agent Launch Meets High Valuation Watchpoints
• Neutral Sentiment: International revenue exposure and technicals matter — analysts note international trends and the stock is testing its 50‑day moving average after the earnings move, important for near‑term momentum. Don’t Overlook Cadence (CDNS) International Revenue Trends Cadence Stock Is Challenging Its 50-Day Moving Average
• Neutral Sentiment: Short-interest entries in the feed show anomalous/zero values (likely a data glitch) — no clear short‑squeeze signal from the reported figures.
• Negative Sentiment: Some firms trimmed expectations — Morgan Stanley and Piper Sandler lowered forecasts/price expectations, which can cap upside if follow‑through downgrades occur. Piper Sandler Lowers Expectations Morgan Stanley Lowers Expectations
• Negative Sentiment: Unusual options activity — large volume of put purchases was reported, which can signal some trader hedging or bearish positioning ahead of further volatility. Stock Traders Buy Large Volume of Cadence Put Options

Insider Transactions at Cadence Design Systems

In other news, VP Paul Cunningham sold 1,000 shares of the company’s stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $295.09, for a total value of $295,090.00. Following the transaction, the vice president owned 95,137 shares of the company’s stock, valued at $28,073,977.33. This represents a 1.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO John M. Wall sold 27,805 shares of the stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $318.57, for a total value of $8,857,838.85. Following the transaction, the chief financial officer owned 69,957 shares of the company’s stock, valued at approximately $22,286,201.49. This represents a 28.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 56,475 shares of company stock valued at $18,505,486 in the last ninety days. 1.99% of the stock is currently owned by corporate insiders.

Cadence Design Systems Company Profile

Cadence Design Systems, Inc (NASDAQ: CDNS) is a global provider of electronic design automation (EDA) software, hardware and intellectual property used to design and verify advanced semiconductor chips, systems-on-chip (SoCs), printed circuit boards (PCBs) and packaging. Headquartered in San Jose, California and founded in 1988, Cadence serves semiconductor companies, original equipment manufacturers and system designers across the globe, helping customers accelerate design cycles and manage the complexity of modern integrated systems.

The company’s offerings span software tools for digital, custom/analog and mixed-signal design, verification and signoff, as well as solutions for system-level modeling, thermal and signal integrity analysis, and PCB and package design.